Due to the war, Ukrainian households will lose a quarter of their budget, and poverty in 2023 may rise to 58% – World Bank

This could urge millions of people in Ukraine to receive social assistance

What happened? Ukrainian households will lose a quarter of their budgets due to rising cost of living, and in the worst case scenario, poverty could rise to 58% in 2023.

Source. This was stated by the Regional Director of the World Bank for Eastern Europe Arup Banerji in an interview for Interfax-Ukraine.

Details. He said the World Bank's estimates show that the household losses from the income shock and higher cost-of-living will be around 25% of the household budget. At the same time, poverty, under the worst-case scenario, may reach as high as 58% in 2023. 

“This is why the Bank has been supporting, and will continue to support, the Guaranteed Minimum Income program including through a new $50 million disbursement,” the World Bank regional director said.

He also reminded that the World Bank is preparing to provide Ukraine with a loan of almost $100 million as part of the redistribution of loan funds to support the IDP assistance program for the period of martial law.

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